- CZ predicts Bitcoin accumulation by China is “inevitable,” despite its opaque policy, as the nation seeks to secure hard assets for financial strength.
- U.S. plans for a Bitcoin reserve could trigger global action, potentially pushing China and other nations to discreetly follow suit.
Following the recent update on China’s Bitcoin ban shared by CNF, it was revealed that 55% of the BTC mining hashrate remains under China’s control. Speculation about China’s potential move to establish a strategic Bitcoin reserve has gained traction, with former Binance CEO Changpeng “CZ” Zhao sharing his insights during the Bitcoin MENA conference in Abu Dhabi on December 9.
CZ suggested that smaller nations might adopt Bitcoin reserves first, with China potentially following suit in a more unpredictable manner due to its opaque policy framework. He emphasized that accumulating Bitcoin is “inevitable” for China as it seeks a “hard asset” to strengthen its financial strategy.
Interestingly, Chinese whales have been actively investing in memecoins, as revealed by a recent tweet from Whales China’s X account.
BREAKING :
Chinese whales are pumping money into buying memecoins
— Whales China (@WhalesChina) December 9, 2024
Trump’s Bitcoin Reserve Plan Could Trigger Global Action
Zhao’s remarks coincide with discussions about U.S. President-elect Donald Trump’s proposal to create a national Bitcoin reserve, involving the purchase of up to 1 million BTC. This plan, expected to increase Bitcoin’s price, has sparked debates about its potential global impact.
Zhao believes that if the U.S. implements this strategy, it may push other nations, including China, to follow suit. He speculated that China might accumulate Bitcoin discreetly before making any formal announcements, consistent with its history of sudden policy changes.
CZ’s Continued Influence Amid Transition
After stepping down as Binance CEO in November 2023 following legal issues and a prison sentence, Zhao remains a significant voice in the crypto space. Despite restrictions on his business activities, he continues to provide valuable insights into cryptocurrency adoption dynamics.
As geopolitical interest in Bitcoin grows, Zhao’s predictions highlight the potential for major shifts in how nations incorporate digital assets into their financial reserves.
At the time of writing, Bitcoin is trading at $97,043.06, reflecting a 2.62% decline over the past day and a 1.61% increase over the past week.
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